Warren Buffett Investment Formula 10, Warren Buffett Investment Formula

I'm also mentally retarded, why do you talk so much 9972

1.Warren Buffett.

The proportion of equity invested is large, which can influence the decision-making of management;

2.Even if the stock price of the company Buffett invests is serious, it will not sell its shares;

3.Warren Buffett doesn't care about the stock price, and even buys it when the stock price is at its peak before starting;

4.Warren Buffett doesn't buy P/E ratios.

More than 20%**;

5.Warren Buffett will also buy unlisted companies;

6.Warren Buffett sets very complex acquisition conditions.

The above six points are Buffett's investment style.

Extended Information] Hundreds of billions of dollars in cash comes in handy again! In the eventful time of the global market, Bar Chain Shufit, which is good at taking advantage of market turbulence to tap opportunities, continues to find good opportunities: only this time it is not **, but the insurance industry that Buffett is familiar with.

Berkshire Hathaway.

U.S. stocks on Monday. Before the opening of the market, it said that it agreed to acquire the insurance company Alleghany for 11.6 billion US dollars (about 73.7 billion yuan) in cash, equivalent to US dollars per share. Berkshire said the deal is expected to close in the fourth quarter of this year.

This is the largest M&A deal since Berkshire's $37.2 billion acquisition of precision castings since 2016. Berkshire currently holds nearly $150 billion in cash, but Warren Buffett has struggled to find attractive investment targets, and has had to buy back in recent years**. It wasn't until earlier this month that he began to increase his stake in Occidental Petroleum in large amounts.

At the time of writing, Alleghany was more expensive than the previous one.

The U.S. dollar was **36 at one point.

Warren Buffett amplified moves! As soon as I made a move, I bought more than 70 billion!

So, what does Warren Buffett like about this insurance company?

Valuation, the transaction is equivalent to Alleghany's book value.

times, a premium of 25 from the recent ** price, which is in line with the low valuation principle that Warren Buffett has always adhered to in value investing.

In addition, Buffett has a special connection to the company: he said in a statement: Berkshire will be the perfect permanent home for Alleghany, and he has been following the company closely for 60 years.

Alleghany's current chief executive worked for Berkshire subsidiary GM for eight years before taking office in January. This kind of merger and acquisition can't help but be reminiscent of Microsoft.

Acquired Blizzard, and the then CEO of Blizzard had been known for more than 20 years before working at Microsoft.

From a business point of view, alleghany mainly conducts its business through 3 divisions – insurance and reinsurance.

and Alleghany Capital.

1. Find market vacancies that others have not discovered.

2. Invest in market vacancies that others are aware of but disdain to invest in.

3. Invest in markets that have formed a competitive situation, but we must break out of our characteristics.

Sun JingExtended Materials

Why did Warren Buffett become a stock god?

1. Warren Buffett has the best talent for investment, which ordinary investors do not have. I have to say that the role of talent cannot be ignored, and talent combined with acquired hard work can make people outstanding, but the premise is to use it in the right place. For example, you have the best talent, but you are engaged in computer cracking.

Then not much will be done.

Second, Warren Buffett has received professional training in professional knowledge, while ordinary investors are mostly amateurs. When Buffett was 19 years old, he read a book called "The Smart Investor" that completely changed his investment philosophy. The author of this book was none other than his enlightenment teacher, Graham.

Warren Buffett was accepted to Columbia University after his application to Harvard University was rejected. I met Graham in the second semester of practice class. Only then did he know that the idol he had always admired was a professor here.

3. The United States, where Warren Buffett is located, is relatively standardized, while China is still in the growth stage, and many systems are not perfect. Warren Buffett's U.S. ** has a history of more than 200 years, and the market management and system have been very standardized. In fact, between 1886 and 1929, there were particularly serious stock price manipulation and insider trading in the United States.

Between 1929 and 1932, there was another Great Depression in the United States, and many exchanges closed their doors. Even his teacher, Graham, lost 70% of his account during this period. But since 1954, with the rapid development of institutional investment, the United States** has become more and more standardized.

It just so happened that Warren Buffett started his investment career in 1957, so it was a good time.

Besides, we in China, it has only been 29 years since its establishment, and compared with the United States, it is still in its infancy, and the system in all aspects is not perfect. As a result, many money-making companies, institutions and individuals who maliciously manipulate stock prices have taken advantage of loopholes. In such an environment, it is difficult for ordinary investors to be useful, even if they are knowledgeable.

It can be seen that the reason why Warren Buffett achieved great success through ** and became the richest man in the world in 2008 has a lot to do with his talent, environment, and personal efforts. When these favorable conditions are occupied by Buffett, it seems logical to become a stock god.

Mr. Buffett is a leading leader, and his investment method is very worthy of learning and reference for investors. Mr. Buffett's stock selection is very unique, value investment, safety and stability, and long-term investment are his stock selection formulas, but the principles are more accurate, and the following is specific**.

1. Value investment, choose valuable public middle school and command companies; Mr. Buffett's stock selection places great emphasis on studying the stock price of listed companies, rather than the technical indicators of public companies' stock prices; Although investors buy **, the **long-term will inevitably be closely related to the value of the company.

First of all, the best listed company must have the most professional team and must be the best elite in a certain industry. Mr. Buffett will spend a long time communicating with them, not counting the number of reports that are read. Secondly, the company's development strategy, the essence of the development direction of the product, the company's products are not the best in the industry, not only the requirements are the best now, the past is also very stable and excellent, the future is a clear strategy and direction to ensure that the industry leads.

2. Safe and stable, Mr. Warren Buffett has two very famous sentences, the first is not to lose money, and the second is to never forget the first one; In **, it is very difficult to maintain a calm mind, especially when the bull market is at its hottest, it is often difficult to maintain rationality in investment; In **, not the place to make quick money, this is Mr. Buffett's most successful investment idea.

At the lowest and most panicked time, Mr. Buffett undoubtedly has the innate conditions to do this, which is based on his research on the value of listed companies, his understanding of the operation of listed companies, and a truth that everyone understands, the market will not close due to a temporary downturn. At this time, the bold and excellent listed company is undoubtedly a very good investment.

3. Long-term investment, Mr. Buffett's investment philosophy does not have the concept of "****", he is an investment, and it is a long-term investment; Mr. Warren Buffett's investment quote "If you don't want to hold a ** for ten years, then you don't need to buy it"; It can be seen how persistent he is about long-term investment and how disdainful he is for ****.

Mr. Warren Buffett was once the richest man in the world for many years, and his successful investment philosophy is undoubtedly very good, and he is an example for investors to learn.

But objectively speaking, his investment philosophy was inconsistent with his investment philosophy at the beginning of the establishment of many new economy high-tech companies in this century, that is, he missed many of the greatest technology companies that changed human living habits.

Operating environment:Lenovo Xiaoxin air15 system windows10 Lenovo browser version:

1.Warren Buffett's investment has a large proportion of equity sales, which will affect management decisions;

Even if the stock price is serious, the company that Buffett invests in will not ****;

3.Warren Buffett doesn't care about the stock price, and even at the peak before the start, some stock prices are at their peak;

4.Warren Buffett will not buy a P/E ratio of more than 20%**;

5.Warren Buffett will also acquire unlisted companies;

6.Warren Buffett will set very complex terms for the acquisition.

The above six points are Buffett's investment style.

About Warren Buffett.

Warren Buffett is a world-famous investor, mainly investing in **, electronic spot, ** and other related industries, and has been shortlisted for many times in the global billionaire list of Fupai Youbus, known as the stock god Buffett. Warren Buffett, who has a lot of wealth, donated 85% of his own assets in 2006. Warren Buffett is the most respected person in the American population other than his father.

Warren Buffett's investment philosophy can be summed up as a "5+12+8+2" model, that is: 5 investment logics, 12 investment points and 8 stock selection criteria.

5 investment logics

1.Because I think of myself as a business operator, I become a good investor; Because I see myself as an investor, I become a good business manager.

2.A good business is more important than a good business.

3.Pursue consumer monopolies all his life.

4.It is the real value of the company that ultimately determines the company's share price.

5.There's no time to get the best companies out of the cracks.

12 investment takeaways

1.Take advantage of the stupidity of the market and make regular investments.

2.The bid price determines the rate of return, even for long-term investments.

3.The compound growth of profits and the avoidance of transaction costs and tax offsets benefit the investment quietly people.

4.I don't care how much a company can make in the coming year, I only care how much I can make in the next 5 to 10 years.

5.Only invest in companies with high certainty of expected annualized expected returns in the future.

6.Inflation is the worst enemy of investors.

7.The investment philosophy of value and growth is the same; Value is the discounted value of an investment's future cash flows; And growth is just the process used to determine value.

8.An investor's financial success is directly proportional to how well he understands the company in which he invests.

9.The "margin of safety" assists your investment in two ways: first, it buffers possible risks; The second is the relatively high rate of return on equity.

10.It's stupid to have a ** and expect it to be ** next week.

11.Even if the Fed chairman secretly tells me about monetary policy for the next two years, I will not change any of my actions.

12.Ignore the ups and downs of **, don't worry about changes in the economic situation, don't believe in any**, don't accept any inside information, and only pay attention to two points: aWhat to buy**; b.****。

8 investment criteria

1.It must be a consumer monopoly.

2.The product is simple, easy to understand, and has a promising future.

3.Have a stable business history.

4.Managers are rational, loyal, and always put the interests of shareholders first.

5.Financial stability.

6.High operating efficiency and good expected annualized expected returns.

7.Low capital expenditures and abundant free cash flow.

8.**Plausible.

When it comes to money, are you afraid or greedy? No one likes fear highlighting and greed, but Warren Buffett said, "To be successful, you have to advance when others are fearful and stop when others are greedy." "Is Warren Buffett really that amazing?

Now 90 years old, Warren Buffett is a man who has the courage to admit mistakes, and he recently frankly admitted some facts at a shareholder meeting, including that he should not have ** a certain technology company**. "That could have been a mistake," he said.

However, his investment firm's quarterly earnings hit the second-highest level in 10 years, do you say God?

In fact, Warren Buffett has four principles for investing, namely:1Make a note of the investment plan and follow it strictly; 2.

Adjust your investment strategy at any time; 3.Once you have found a target worth investing in, don't be swayed by other factors; 4.If there is no public office that is worth investing in, it is better to hold cash than to chase **;

There are also four investment principles for target companies:1Invest only in companies you understand; 2.

Research the sales data and profit model of the enterprise; 3.** The company you want to invest in, understand its products or services, its position in the industry, etc.; 4.Try to understand how its management runs and manages the business.

Can you make a note of it?

Learn Warren Buffett's U.S. stock investment methods, mainly including:

1.Value investment concept: select companies with sustained profitability and growth potential for long-term investment to obtain excess returns. Such as Coca-Cola, Geely holding a booth car, etc.

2.**And hold: **High quality** after holding for a long time to obtain the benefits brought by the increase in enterprise value. For example, Buffy and Ruler have held Coca-Cola for more than 50 years and have received more than 5,000 times the return.

3.Concentrated investment: Invest most of the funds in a small number of **, which is conducive to in-depth research and grasp opportunities. Warren Buffett's portfolio consists of more than 50% of the top 5**.

4.Long-term vision: **The development prospect of the enterprise for 3-5 years or longer, choose the sustainable creation of value**. For example, Warren Buffett made a lot of profits in financial stocks during the 2008 financial crisis.

5.Conservative investment: choose enterprises with lasting competitive advantages and development, and control risks. For example, Warren Buffett invests less in technology companies and prefers stable companies such as Coca-Cola and Union Bank of America.

6.Buy but not sell: Rarely sell after ****, unless there is a significant change in the outlook of the business. For example, Warren Buffett has held Coca-Cola, American Express, etc. for decades, surpassing the market cycle to obtain continuous returns.

For example, Warren Buffett started Coca-Cola in 1988 and has held it for more than 30 years. During this period, Coca-Cola's share price rose from US$** per share to more than US$2,200, and Warren Buffett earned nearly 8,800 times, with an annualized return of more than 20%. This is a perfect demonstration of Buffett's value investing philosophy, a successful investment strategy of holding for the long term and buying but not selling.

In short, the key to learning from Warren Buffett's method is to cultivate his value investment philosophy and choose high-quality companies to hold for a long time. This requires an analysis of the company's continued competitiveness and long-term growth potential, as well as its profitability prospects for the next 3-5 years or beyond. Then hold with a steady mindset to get excess returns that exceed the market.

Perseverance is a must to become a Buffett-level investor.

My current favorite U.S. stock broker is Biyapay. Easy to open an account through biyapay**, low threshold, simple deposit and withdrawal, support US dollars, Hong Kong dollars and other deposits and withdrawals, but also digital currency deposits and withdrawals, no longer need to handle offshore accounts as before, no need to do complex account opening applications, only need identity authentication.